Silver seeking a dip in the mighty greenback

• Silver has been pressured by rising US rates and the US dollar.
• The greenback is now facing resistance and could be due for a correction.

Silver is currently trading at $25.9855, down some 0.35% on the day while the greenback keeps hold of the bid. 

The price of silver was offered vs the dollar overnight and was lower by around 1.10% at the closing bell on Wall Street, ending near $26.0220 having travelled from a high of $26.6370 to a low of $25.8325.

The gold to silver ratio was higher by 0.51% but off its highs by the close of the New York trade. The ratio rallied from a low of 65.8510 to a high of 66.8860. 

The Federal Reserve's reactive approach argues against any taper on the horizon yet rising yields continue to pressure consensus positioning across risk assets and this is an obstacle for industrial metals prices, including silver.

The complex could find itself up against a long squeeze should the US dollar continue to gain traction. 

Looking ahead, the DXY is meeting a wall of resistance, however. 

• DXY bears stepping in at resistance

Silver technical analysis

Silver could find some support for the meanwhile on a technical basis. Technically, the price is coming into close quarters with a rising 4-hour trendline support and the confluence with the market's support structure around $25.80/96. 

• Silver Price Analysis: XAG/USD sellers stay hopeful around $26.00 on short-term rising wedge